Ticker Last High Low Daily Change (pip) Daily Range (pip) EUR/USD 1.1419 1.1425 1.1383 20 42 EUR/USD volatility may continue to dwindle ahead of the semi-annual Humphrey-Hawkins testimony, but the pair stands at risk of threatening the monthly opening range should fresh remarks from Fed Chair Janet Yellen shift market expectations. Chair Yellen may strike a hawkish tone in front of the U.S. House Financial Services Committee amid the growing discussion to unload the balance sheet, and the greenback may catch a bid should the testimony highlight a more aggressive path in normalizing monetary policy. However, the central bank head may refrain...
The latest JOLTS report (Job Openings and Labor Turnover Summary), with data through May, is now available. The first chart below shows four of the headline components of the overall series, which the BLS began tracking in December 2000. The time frame is quite limited compared to the main BLS data series in the monthly employment report, many of which go back to 1948, and the enormously popular Nonfarm Employment (PAYEMS) series goes back to 1939. Nevertheless, there are some clear JOLTS correlations with the most recent business cycle trends. The chart below shows the monthly data points four of the JOLTS series. They are quite volatile, ...
Most precious metal assets staged a solid “comeback rally” against government fiat yesterday. Double-click to enlarge this key GDX chart. There’s decent intermediate trend technical support in the $21 area. Hardcore accumulators can place buy orders for GDX in the $23 to $18 price zone. To understand why this is a good idea, please look below. The deep-pocketed commercial traders are serious gold buyers now. They are likely anticipating the resumption of gold imports in India. Imports were halted at almost the exact intermediate trend high of $1300, partly because of uncertainly about the GST tax. Commercial traders sold aggress...
Gold for nearly a decade (2000-2011) was much stronger than the US Dollar, reflected at (1) below. Once this ratio peaked in 2011, it has created a series of lower highs along falling resistance (2) in the chart below. A counter trend rally has taken place since last year, taking the ratio up to the underside of falling resistance line (2) at (3). For Gold to break free of this 6-year falling trend it needs to breakout at (3). Gold bulls do NOT want to see this ratio peak at (3) and start turning lower! Gold has run out of steam for the past few years along line (2), will see if its different this time around at (3)....
These are difficult times for value investors. Stock prices keep rising as profits stagnate. Overvalued stocks such as Netflix (NFLX: $147/share) continue to make new highs. Even legendary value investor Jeremy Grantham seems to have thrown in the towel. Earlier this month, Goldman Sachs issued a report titled “The Death of Value.” Our message to value investors: don’t despair. Value investing isn’t dead—but it has gotten harder. In order to find value, investors need to look beyond the widely-available and misleading accounting results on which most people focus. It’s time to get back to the basics of reading footnotes and f...
I recently caught up with Jayant Bhandari and he shared his insights on how to profit from arbitrage within mergers and acquisitions deals in the resource sector....
Photo Credit: Bernal Saborio Delta Airlines (DAL) is set to release Q2 results on Thursday, July 13. Estimize and The Street have been very much in line with each other when it comes to their estimates for Delta’s EPS. According to Estimize, EPS is set to increase roughly 114%, from $0.77 in FQ1’17, up to $1.65 in FQ2’17. Likewise, Wall Street is looking for an identical spike. Furthermore, it looks as though the consensus among Estimize and Wall Street remains fairly similar regarding revenue. In FQ1’17, Estimize estimated revenue of $9.175M and Wall Street came in at $9.140M; the actual number lying at $9.140M. This quarter, both...
Overview The quiet period for the Altice (ATUS) IPO is scheduled to expire on July 17, 2017. Beginning on July 18, 2017, the company’s underwriters will be able to release recommendations and reports about the company. This is according to SEC guidelines. We believe that the release of the reports could result in a temporary boost in the share price, providing a short term buying opportunity for experienced investors. Our firm has research price movement around quiet period expirations, and results can be found here. (Company Website) Business Summary Altice USA Inc. is based in Bethpage, New York and was formed when its parent comp...
Following the recent pullback in Tesla (TSLA) shares, Morgan Stanley analyst Adam Jonas revisited his thoughts on the stock and concluded that, at current valuation, Tesla remains “a rather expensive call option” on the addressable markets of next-generation transportation and energy. With protectionism an increasing worry as Tesla threatens to “flood” international markets with its electric vehicles, Jonas sticks by his view that “very large and well capitalized” tech competitors, such as Apple (AAPL) and Alphabet (GOOGL) will be making “increasingly conspicuous” efforts to encroach on Tesla...
The rally took stocks right up to the 20-day moving average before selling off at the close. For the past couple of weeks that 20-day moving average has been an absolute pest to the S&P 500 and traders as a whole. Today it kissed the MA and then sold off hard right thereafter into the close. The 20-day MA also lines up well with the declining channel off of the June 26th highs – check it out in the chart below! Perhaps it isn’t over for the bears. But time and time again they keep getting the chance to sell this market off and they fail to do so. Furthermore, you had less volume yesterday than what we all saw on July 3rd ...